I saw the story on Yahoo.
In defense of the mom...I'm going to guess she had NO idea this could be illegal. Many, many bakers jump into business without first researching whether or not it's something that's allowed in their state. Not because they want to ignore the law, but because it never even occurs to them that it might not be allowed. I know when I first started selling cakes I didn't have a clue it could be illegal and I didn't even think to check until I had been doing it for a couple of months and someone flat out asked me if it was legal to sell cakes from my home. I'm guessing this started out as something small and grew from there. Not trying to give them an excuse. Just saying that's a reality.
Frankly (and I'm a mom of 3), I'm glad to see the health dept. shut her down. They should have. It's their job and it doesn't matter if she's just a kid. She (and mom) needs to learn you still have to follow the rules AND the rules exist for a reason, not because the health dept doesn't want you to earn money. Not to mention, mom and dad have way less risk of someone suing the pants off them because they claim they got sick.
I read some of the comments and I was pleasantly surprised that many people seem to agree with the decision to shut her down and understand the reasons why a kitchen should be inspected (allergies, pet hair, etc.).
I totally agree with you. The rules are there for a reason. I think the mom should have done more research on it too.